Will Private Practice Die?

[Drsumitra]

Will Private Practice Die?

by Chris

This is a challenging time for private practice.

Whether we are at the beginning, middle, or nearing the end of our professional careers, many of us have noticed a few holes in our schedules.  Our hygienists aren’t as busy as they used to be, patients delay necessary treatment, and new patients seem to be few and far between.

Our colleagues at dental society meetings and study clubs seem to share our woes.  We all shrug and say, “The office is slow.”  Some solace is taken knowing that it isn’t just ourpractice that is taking a hit.  We blame the economy, politicians, and global finance for our troubles.

This blame game needs to STOP RIGHT NOW.  Yes, the economic downturn has affected our practices but there’s so much more at work here.  If we just wait for the economy to improve we’ll find that our practices won’t be buoyed back with the rising tide.

Several forces are at work that have resulted in a decrease in dental office visits since as early as 2005, well before the economy took a dump.  Here are some of the main offenders:

(1)    Decreased third party benefits  – Fewer benefit packages are being offered.  Even if your practice is fee-for-service, your patients are less likely to begin treatment if they lost their dental insurance.

(2)    Changing dental benefit arrangements – Insurance companies are shifting the costs of treatment onto the beneficiary.  A procedure that used to be covered at 80% may now be covered at 50%.

(3)    The “consumerization” of patients – Our services are viewed as interchangeable commodities as patients become bargain shoppers.

(4)    More competition from dentists – There are more dentists graduating from more dental schools and fewer retiring dentists.

(5)    More competition from alternative practice models – The rise of corporate dentistry and similar practices that use economies of scale to their advantage.

So even when the economy picks itself and dusts itself off, dental private practice won’t necessarily jump back to its former glory.  Is it hopeless?  Is private practice a dying practice model?

Absolutely not.  Private practice will survive and thrive.  I’ll explain why I think so in my next post.

        

[Drsumitra]

 

How Private Practice Can Thrive Again

 

A lot of dental practices are hurting right now.  Yes, the economy is a factor, but the issue is much more complex than that.  The environment for dental practices has changed forever, as I explained in my last post.  Is private practice becoming a dinosaur in a more competitive world?  Will dentists in the future work for Wal-Mart?

I believe that private practice can thrive again.  How will we compete in a tougher climate?  By reclaiming our entrepreneurial spirit.  We can no longer sit by passively and expect our practices to thrive.  We must train ourselves to become true businessmen and businesswomen.  Here are a few ideas on how to do that:

(1) Rethink office systems – The next time you have a free hour because a patient cancels, don’t let yourself get distracted by Facebook, your Fantasy Football team, etc.  Instead, sit down with your office manager and ask questions.  What does your hygiene recall system look like?  How do you track uncompleted planned treatment?  Ask your colleagues and research ways to become more efficient.

(2) Engage and educate the community – We can fight the consumerization of patients by teaching them the value of our services.  We must reach out to our local businesses, schools, and leaders and let them know we exist.  I’ve spoken before about networking groups and why I think they are a hidden secret to growth.  I’ve grown my practice significantly by taking the time to be involved in Chambers of Commerce and the like.

(3) Market your practice intelligently – I’ve learned to stop spending money on traditional advertisements (e.g. newspapers).  We can develop a marketing strategy using social media that is free and far more effective.  It just takes a little sweat equity.

(4) Develop a dental niche – There are a lot of dentists who have the phrase  “Family, Cosmetic, and Implant Dentistry” on their sign.  What else distinguishes you?  Consider becoming an authority on TMJ/TMD, or dental phobia, or sleep appliances.  Broaden the scope of your practice to include a specific niche that will attract patients.

(5) Get tough on overhead – As much as we may like our dental supplier sales representative, we should shop around for better bargains.  Although our services are not commodities, our materials are.  Don’t pay $5 for cotton rolls when you can pay $3.  Seek out dental suppliers that will offer quality products for less.

We can enjoy a new era for private practice but it won’t just happen on its own.  We must take control of our practices.  We must stake our claim as entrepreneurs.  Passive business owners may not survive even after the economy turns around.  But active business owners will thrive.  We’ll do it together.

        

[site_admin]

 One most important thing that was missed out was that take plenty of CE and hands on courses. The more I interact with dentists the more I realize that every dentist is in need for advanced training in some aspect or another. Fresh graduates must especially take a lot of hands on courses. Take training from impartial speakers and where products from many companies are demonstrated.

        

For one to one consultations on dental practice growth and practice management please contact : todaysmedicalmarketing@gmail.com

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